Oil prices rise after the earthquakes in Turkey and Syria

On Tuesday, the price of oil is rising against the background of several factors at once. The asset was supported by Saudi Arabia's decision to raise prices for most of its oil grades, as well as fears of a decline in supplies from the Middle East after the earthquakes in Turkey and Syria.

The current Brent quote is $82.05 per barrel (yesterday's low is $79.25). North American WTI crude is trading near $75.15 per barrel after yesterday's decline to $72.40. 

Saudi Arabia has decided to raise the prices of its raw materials for Asian buyers. The national Saudi company Saudi Aramco reported that the cost of the main Arab Light grade supplied to Asia in March will increase by $ 0.2 per barrel. As a result, it will be $2 per barrel more expensive than a basket of oil from Oman and Dubai. The price of this variety has increased for the first time since September.

This increase in prices for Asia indicates that the demand for oil in China is growing. And this should provide significant support to the oil market, given the growing concerns of investors about the volume of reserve production capacity in the world. Analysts note that the reserve production capacity in the oil sector is running out, and this may become a serious problem for the market in 2024.

The devastating earthquakes in Turkey and Syria also contributed to the price increase today, as a result of which the operations of the Turkish Ceyhan oil terminal were suspended, as well as the work of the largest refinery in the Syrian province of Tartus was stopped.